Amazon in spotlight as Pentagon’s cloud contract approaches

Angela Styles, partner at Bracewell LLP, discusses the competition for Defense Department cloud contracts, and how Amazon has been faring in the government contracting business.

This month, President Trump has been railing against Amazon’s e-commerce business on Twitter. However, other parts of the government seem to be courting Amazon’s other main business: cloud computing. As competition for the Department of Defense’s JEDI contract begins to heat up, some cloud providers are concerned that the contract is designed solely for Amazon.

“You should have your contracts in order before you make a big splash, which is exactly what [Amazon] has done. They are going to face some pretty significant forces when you see the president issuing an executive order targeted at one company,” said Angela Styles, partner at Bracewell LLP.

Styles says that DoD is doing a good job assuaging industry fears about the cloud contract.

“They are getting a lot of pressure from industry to not create a monopoly here with one company, and it’s working. Industry is bringing valid points to the table. ‘Are you going to have one cloud computing contract for the Department of Defense? It is going to dominate for 10 years. And the DoD has said ‘No, that’s not what we are doing to do. We are trying to take a reasoned approach to this so we can remain competitive.